Page 111 - F3 -FA Integrated Workbook STUDENT 2018-19

Non-current assets: acquisition and depreciation

The non-current asset register

4.1 Purpose of the non-current asset register

The register is a list of non-current assets owned by the entity. It is not part
of the double-entry accounting system but is part of the internal control
system of the entity. The register enables key information relating to each
individual asset to be easily identified, such as its location, type/description
and cost.

4.2 Content of the non-current asset register

The register will contain detailed information relating to each individual non-current
asset as follows:

 date of purchase

 initial cost

 serial or reference number

 description of asset

 location of asset

 estimated useful life and residual value

 depreciation rate and method

 carrying amount

Management will also need to be aware of:

 the extent to which it is used

 the repairs that have been carried out and the cost of those repairs

 the expiry date of any licences permitting the entity to use the asset

 whether it has been revalued (considered in separate chapter)

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